Hotel Tax Instructions
What Short-Term Rental Owners Need to Know About Hotel Occupancy Tax
League City requires short-term rentals to collect and remit city hotel occupancy taxes on a quarterly basis. The hotel occupancy tax rate for League City is 7% which should be charged on gross revenues which include the nightly rental rate, cleaning fee, pet fee, smoking fee, rental damages, etc.
Required Quarterly HOT Reporting
League City uses an online system called GovOs MuniRevs to manage and collect hotel occupancy taxes on a quarterly basis for short-term rentals. You must register and complete your hotel occupancy tax registration in this system after you obtain your STR permit.
- All short-term rental operators are required to file quarterly reports and pay hotel occupancy taxes through MuniRevs.
- Quarterly HOT Reports must be filed by short-term rental operators in MuniRevs even if there is $0 revenue.
- HOT reports are due by the 20th of the month following the reporting period. Due dates: April 20, July 20, October 20, January 20
- Your tax forms will be available in MuniRevs on the first day of the month following the last day of the tax period.
- Payment types accepted include ACH Debit, e-check, Mastercard, and Visa.
- The system will email alerts about tasks due in your Action Center.
STR Operators should retain booking records and hotel occupancy tax records for a minimum of 3 years from the date of the transaction. Records should include documentation for taxes collected and reported by the operator or by a booking platform on their behalf.
Closing a STR Business
If you discontinue short-term rental operations and are no longer in business, you will need to close your account. Quarterly reporting, STR permit renewals, and tax payments are required until your MuniRevs account is closed. To close your account, email firstname.lastname@example.org and email@example.com. Please include the account number, owner name, closure date (i.e. date of sale), and the reason you are closing the account (i.e. no longer short-term renting). Ensure all online listings are removed within 30 days to avoid penalties for noncompliant properties.
Penalties for delinquent reports and hotel tax payments:
- 1-30 days late: $1 or 5% of tax due, whichever is greater.
- 31+ days late: Additional $1 or 5% of tax due, whichever is greater.
- 60+ days: 12% per annum interest is accessed on the amount due until paid.
Failure to file quarterly reports will result in a fine. Failure to comply with short-term rental regulations or hotel occupancy tax requirements as outlined in the Ordinance 125-3.14.18 is a Class C misdemeanor offense and is punishable upon conviction by a fine not to exceed five hundred dollars ($500.00) per offense. Each day shall constitute a separate offense.